This fast-paced webinar will identify the key legal and financial aspects of a commercial lease from the perspective of both the lender to a landlord and the lender to a commercial tenant.
A primary focus of this webinar will be the proper assessment of future cash flow from rental income based on a qualitative and quantitative analysis of the underlying lease. Understanding these key drivers will allow a lender to properly prepare a rental rate sensitivity analysis to stress test projected income in the loan underwriting process. This program will also discuss the issues surrounding the financial distress or bankruptcy of a tenant and it’s impact on cash flow projections in a workout scenario.
What You Will Learn
- Reviewing leases, lease summaries and lease abstracts to extract necessary data
- What happens to a lease when the Tenant is in financial distress or bankruptcy
- Understanding the relationship between the Landlord and each Tenant
- Evaluating potential conflicts between the Landlord’s Lender and a Tenant’s Lender (and their economic consequences)
- Assessing the financial strength of the Tenant and any credit support for its lease obligations
Who Should Attend?
Whether you make loans to owner/landlords secured by real estate, rents and leases or loans to tenants secured by leasehold improvements and leasehold interests, this webinar is for you.